Offers Over in QLD: What It Means and When It Becomes Bait Advertising

In this blog/video, we look at ‘offers over’, bait advertising, misleading and deceptive conduct, plus more…

We also explore how altering photography for property listings can land you in hot water, as well as the hefty fines for getting it wrong!

Prefer to watch/listen? Click here to consume this content via YouTube!

Hi everybody – George Sourris, Empire Legal.

Today’s topic: ‘Offers Over’ Could Cost You Big – QLD’s Crackdown on Misleading Listings

In Queensland’s dynamic real estate market, transparent and accurate property advertising isn’t just best practice, it’s a legal imperative. With recent legislative changes and heightened scrutiny, understanding and adhering to advertising regulations is crucial for real estate professionals.

Understanding misleading or deceptive conduct.

Under Section 18 of the Australian Consumer Law (ACL), it’s unlawful to engage in conduct that is misleading or deceptive, or is likely to mislead or deceive in trade or commerce. This encompasses any statements, actions, or omissions that could give a false impression to consumers, regardless of intent.

In Queensland, Section 212 of the Property Occupations Act 2014 reinforces this by prohibiting licensees or real estate salespersons from making false or misleading representations about property transactions. Breaching this provision can result in penalties of up to $87,102 or 540 penalty units – ouch!

Common pitfalls in property advertising.

Number one – ‘offers over’ pricing.

Using ‘offers over’ pricing can be problematic if the advertised price is below what the seller is willing to accept. The practice, known as bait advertising is prohibited. The ‘offers over’ price should reflect the minimum amount the vendor is prepared to accept, as specified in your Form 6.

Number two – misleading photographs.

Digitally enhancing images that significantly alter the property’s appearance can mislead potential buyers. Ensure that photographs accurately represent the property’s current state. It may also be considered misleading to digitally alter a photograph to remove images from the background that may be considered undesirable – such as electricity towers, items that obscure views or objects in neighboring properties.

Number three – false or misleading representations.

Any false or misleading statements about a property’s features, value, or other material aspects can constitute a breach of the ACL. This includes exaggerations or emissions that could influence a buyer’s decision. Even something like a fake testimonial is likely to mislead or deceive and be a breach of Section 29 of the ACL.

Legal consequences.
Engaging in misleading or deceptive conduct can result in severe penalties. Individuals – fines of up $2.5m per breach, and corporations – fines of up to $50 million or three times the value of the benefit obtained, or 30% of the corporation’s turnover during the breach period, whichever is greater.

Upcoming changes.
Significant changes are on the horizon with the commencement of the Property Law Act 2023 on 1st of August, 2025. This introduces a mandatory sellers disclosure regime, requiring sellers to provide prospective buyers with a disclosure statement and prescribe certificates before a contract of sale is signed.

Failure to comply can grant buyers a right to terminate a contract at any time up to settlement. The last thing you want is to get this wrong. Losing the deal will be the least of your worries if the mistake could amount to misleading and deceptive conduct.

If you don’t have the appetite for managing this seller’s disclosure regime within your real estate agency, we’re happy to help and take this off your plate. We will have everything on our website before 01 August 2025, from pricing to timeframes to the link on how you can get started!

Best practices for compliance.

Accurate pricing – make sure all of your advertised prices reflect the seller’s genuine expectations, truthful representations, avoid exaggerations and ensure all property descriptions are factual.

Transparent imagery – use current and unaltered photographs that accurately depict the property.

Client education – informing clients about their obligations under the law to prevent inadvertent breaches.

Regular training – stay up to date with the latest regulations and best practices through continuing professional development.

Adhering to these guidelines not only ensures compliance with the law, but also builds trust with clients and maintains the integrity of the real estate profession.

For more detailed information, please refer to the Queensland Government’s guidelines on property advertising and the REIQ’s insights on misleading and deceptive conduct.

Thanks guys. Hope you learned something new. Next time you’re photoshopping the Brisbane river blue, just keep in mind what is misleading and what is deceptive, and make sure you don’t do it!

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Ladies and gentlemen, please keep in mind that all advice is general in nature and does not constitute legal advice. This is authorised by George Sourris, Empire Legal, Brisbane, Queensland, Australia.

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What does offers over mean in real estate?

“Offers over $X” is a marketing price guide, not a reserve and not a legal floor. It signals the seller will consider offers starting around that figure. It does not oblige them to accept anything, including an offer above it.

It also does not stop the property selling for less, which surprises buyers who assumed the number was a minimum.

Is offers over legal in Queensland?

Yes, price guides are lawful. What is not lawful is bait advertising: advertising a property at a price the seller has already said they will not accept, in order to draw enquiry.

The Property Occupations Act 2014 (Qld) governs how agents may market property in Queensland, and misleading price representations also engage the Australian Consumer Law. An agent who advertises “offers over $700,000” knowing the seller has rejected $780,000 is not giving a guide, they are baiting.

What is bait advertising in real estate?

Bait advertising is advertising at a price the seller will not accept, or that the agent has no reasonable basis to think is achievable, to generate enquiry and inspections.

The signs a buyer can actually see:

• The guide has not moved despite several weeks of strong enquiry
• Every offer near the guide is refused without a counter
• Comparable sales in the street are well above the guide
• The agent cannot or will not tell you where offers currently sit

You can report conduct you believe is bait advertising to the Office of Fair Trading. Practically, the better protection is to value the property yourself and ignore the guide.

Should you offer at, above or below the offers over price?

Offer what the property is worth to you, established from comparable sales, not from the guide. The guide is the seller’s marketing decision and it carries no information about what they will accept.

Where the guide does matter is competition. A low guide on a good property is designed to create a crowd, so assume you are not the only offer and structure accordingly: clean conditions, realistic timeframes, and a number you will not regret.

Does an offers over campaign change your legal position?

No. Whatever the marketing method, once you sign a contract you are in a Queensland contract with the same cooling off, finance and building and pest rules as any other sale. The marketing changes the negotiation, not the law.

The one exception is auction. If an offers over campaign converts to an auction, there is no cooling off period and conditions do not apply, which is a materially different risk.